Börsiteade
Arco Vara AS
Kategooria
Poolaastaaruanne
Manused
Kuupäev
29.08.2008 15:45:12
Pealkiri
6 kuu ja teise kvartali 2008 auditeerimata tulemused
Teade
I poolaasta äritulud kokku moodustasid 344.8 mln krooni (22.0 mln eurot), mis on
29% vähem kui eelmisel aastal
Ärikasum oli -49.2 mln krooni (-3.1 mln eurot), 137.3 mln krooni (8.8 mln eurot)
vähem kui eelmisel aastal
Puhaskasum oli -44.7 mln krooni (-2.9 mln eurot), 271.9 mln krooni (17.4 mln
eurot) vähem kui eelmisel aastal.
Omakapital moodustab 56.1% (2007 I pa: 57.6%) bilansimahust. Omakapitali
tootlikkus oli -2.2% (2007 I pa: 40.0%). Investeeritud kapitali tootlikkus oli
0.3% (2007 I pa: 21.9%)
Ehituslepingute järelejäänud maht oli 338 mln krooni (21.6 mln eurot) võrrelduna
358 mln krooniga (23.0 mln eurot) I. kvartalis
I pa jooksul müüdi või broneeriti kortereid ja krunte kokku 78 tükki (2007 I pa:
67 tükki).
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| | EEK | EEK | EEK | EEK | EUR | EUR | EUR | EUR |
--------------------------------------------------------------------------------
| Miljonites | 6 | 6 | Q2 | Q2 | 6 | 6 | Q2 | Q2 |
| | kuud | kuud | 2008 | 2007 | kuud | kuud | 2008 | 2007 |
| | 2008 | 2007 | | | 2008 | 2007 | | |
--------------------------------------------------------------------------------
| Müügitulu ja | 344.8 | 487.6 | 232. | 147.1 | 22.0 | 31.2 | 14.9 | 9.4 |
| muu äritulu | | | 9 | | | | | |
--------------------------------------------------------------------------------
| Ärikasum | -49.2 | 88.1 | -19. | 15.8 | -3.1 | 5.6 | -1.2 | 1.0 |
| | | | 5 | | | | | |
--------------------------------------------------------------------------------
| s.h | -16.9 | 55.4 | -4.4 | 6.7 | -1.1 | 3.5 | -0.3 | 0.4 |
| kinnisvarainv | | | | | | | | |
| esteeringute | | | | | | | | |
| ümberhindluse | | | | | | | | |
| d | | | | | | | | |
--------------------------------------------------------------------------------
| Kasum enne | -33.5 | 237.1 | -17. | 167.7 | -2.1 | 15.2 | -1.1 | 10.7 |
| tulumaksu | | | 2 | | | | | |
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| s.h kasum või | -19.5 | 123.0 | -19. | 7.7 | -1.2 | 7.9 | -1.2 | 0.5 |
| kahjum | | | 5 | | | | | |
| finantsvarade | | | | | | | | |
| võõrandamises | | | | | | | | |
| t | | | | | | | | |
--------------------------------------------------------------------------------
| Puhaskasum | -44.7 | 227.2 | -28. | 158.1 | -2.9 | 14.5 | -1.8 | 10.1 |
| | | | 0 | | | | | |
--------------------------------------------------------------------------------
| | | | | | | | | |
--------------------------------------------------------------------------------
| EPS 1 | -0.54 | 3.27 | -0.3 | 2.34 | -0.03 | 0.21 | -0.02 | 0.15 |
| (kroonides ja | | | 8 | | | | | |
| eurodes) | | | | | | | | |
--------------------------------------------------------------------------------
| EPS 2 | -0.54 | 3.27 | -0.3 | 2.34 | -0.03 | 0.21 | -0.02 | 0.15 |
| (kroonides ja | | | 8 | | | | | |
| eurodes) | | | | | | | | |
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| | | | | | | | | |
--------------------------------------------------------------------------------
| Varad kokku, | 3,267 | 3,334 | | | 208.8 | 213.1 | | |
| perioodi lõpu | .0 | .0 | | | | | | |
| seisuga | | | | | | | | |
--------------------------------------------------------------------------------
| Investeeritud | 3,019 | 2,986 | | | 192.9 | 190.9 | | |
| kapital, | .0 | .2 | | | | | | |
| perioodi lõpu | | | | | | | | |
| seisuga | | | | | | | | |
--------------------------------------------------------------------------------
| Neto laenud, | 815.4 | -78.2 | | | 52.1 | -5.0 | | |
| perioodi lõpu | | | | | | | | |
| seisuga | | | | | | | | |
--------------------------------------------------------------------------------
| Omakapital, | 1,832 | 1,921 | | | 117.1 | 122.8 | | |
| perioodi lõpu | .7 | .3 | | | | | | |
| seisuga | | | | | | | | |
--------------------------------------------------------------------------------
| | | | | | | | | |
--------------------------------------------------------------------------------
| Laenude | 1.9 | n/a | | | 1.9 | n/a | | |
| keskmine | | | | | | | | |
| pikkus, | | | | | | | | |
| aastad | | | | | | | | |
--------------------------------------------------------------------------------
| Laenude | 7.2% | n/a | | | 7.2% | n/a | | |
| keskmine | | | | | | | | |
| intress, | | | | | | | | |
| aastas | | | | | | | | |
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| ROIC (jooksev | 0.3% | 21.9% | | | 0.3% | 21.9% | | |
| 4 kvartalit) | | | | | | | | |
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| ROE (jooksev | -2.2% | 40.0% | | | -2.2% | 40.0% | | |
| 4 kvartalit) | | | | | | | | |
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| | | | | | | | | |
--------------------------------------------------------------------------------
| Töötajate arv | 569 | 574 | | | 569 | 574 | | |
| perioodi | | | | | | | | |
| lõpul | | | | | | | | |
--------------------------------------------------------------------------------
Juhatuse esimehe kommentaarid
Makromajanduse ja sektori refinantseerimisrisk iseloomustab järjest rohkem ka
Arco Vara teisi koduturge: Ukrainat, Bulgaariat ja Rumeeniat. Võitjaks antud
olukorras jäävad head likviidsuspositsiooni omavad ettevõtted. Baltikumi
kinnisvarahindades võib toimuda veel korrektsioone, eeskätt puudutab see
vähematraktiivsetes piirkondades asuvat või kehvas seisukorras olevat
kinnisvara. Arco Vara pikaajaline eesmärk on suurendada kinnisvaraportfelli
Ukrainas ning Balkani maades, täna on prioriteediks pigem likviidsuse
suurendamine läbi projektide müügi ning kulude kokkuhoiu. Arco Vara
kinnisvaraportfellist ligi 75% asub Eestis.
Arendusdivisjoni tegevusmõõdikud (planeeringute, ehituste, vakantsuste ja
korterimüükide seis) olid I poolaastal positiivsed. Samas võimaldavad
töösolevate projektide ehitusetapid müügitulu kajastamise asemel näidata vaid
broneerimistasude laekumisi Kontserni bilansis. Arendusdivisjoni tulemuste suur
kõikumine kvartalite lõikes on seega oodatav ning oluliste projektide
edenemisega võivad järgnevate kvartalite tulemused oluliselt muutuda. Arvestades
mitmete oluliste projektide (Tivoli, Ahtri3, Laeva, Bišumuiža 2) arengufaasi
ning varade väärtuse kasvu pidurdumist, oli arendusdivisjoni kasumi langus
oodatav. I poolaasta tähtsamateks sündmusteks olid: Tivoli, Laeva 2 ja MB-3
planeeringute kehtestamine, Simferopoli projekti investeerimine ja korterimüügi
blokktehing Sofias.
Teenindusdivisjonile on käesolev aasta keeruline ja vaatamata jätkuvale kulude
kokkuhoiule, lõpetab divisjon ärikahjumiga, mis võib ületada isegi 30.0 mln
krooni (1.6 mln eurot). Positiivne on Kontserni tugev turupositsioon ning
divisjoni tegevusmõõdikud (tehingute ja hindamisaktide arvud), mis on langenud
turukeskmisest vähem.
Ehitusdivisjoni kasum ning võime võita ehitushankeid keskkonnaehituses nii
Eestis kui ka Lätis, kinnitab valitud tegevussuuna õigsust. I poolaastal Eestis
ja Lätis võidetud uued hanked on ehitusdivisjoni tulemuste osakaalu grupi
tulemustes kasvatanud. Tsiviilehituse ja sisekäibe osakaal ehitusdivisjoni
tulemustes on vähenenud.
TULUD JA KASUM
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| | EEK | EEK | EEK | EEK | EUR | EUR | EUR | EUR |
--------------------------------------------------------------------------------
| | 6 | 6 | Q2 | Q2 | 6 kuud | 6 kuud | Q2 | Q2 |
| | kuud | kuud | 2008 | 2007 | 2008 | 2007 | 2008 | 2007 |
| | 2008 | 2007 | | | | | | |
--------------------------------------------------------------------------------
| miljonit | | | | | | | | |
| es | | | | | | | | |
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| Müügitul | | | | | | | | |
| u ja muu | | | | | | | | |
| äritulu | | | | | | | | |
--------------------------------------------------------------------------------
| Teenindu | 58.6 | 64.8 | 29.4 | 34.6 | 3.7 | 4.1 | 1.9 | 2.2 |
| s | | | | | | | | |
--------------------------------------------------------------------------------
| Arendus | 139.9 | 382.5 | 110.2 | 87.7 | 8.9 | 24.4 | 7.0 | 5.6 |
--------------------------------------------------------------------------------
| Ehitus | 206.1 | 157.4 | 116.6 | 100.2 | 13.2 | 10.1 | 7.5 | 6.4 |
--------------------------------------------------------------------------------
| Varahald | 6.8 | 6.2 | 3.4 | 3.1 | 0.4 | 0.4 | 0.2 | 0.2 |
| us | | | | | | | | |
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| Eliminee | -66.7 | -123. | -26.8 | -78.5 | -4.3 | -7.9 | -1.7 | -5.0 |
| rimised | | 3 | | | | | | |
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| Müügitul | 344.8 | 487.6 | 232.8 | 147.1 | 22.0 | 31.2 | 14.9 | 9.4 |
| u ja muu | | | | | | | | |
| äritulu | | | | | | | | |
| kokku | | | | | | | | |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| EBIT | | | | | | | | |
--------------------------------------------------------------------------------
| Teenindu | -20.4 | -9.0 | -10.9 | -5.7 | -1.3 | -0.6 | -0.7 | -0.4 |
| s | | | | | | | | |
--------------------------------------------------------------------------------
| Arendus | -22.2 | 114.3 | -6.1 | 28.2 | -1.4 | 7.3 | -0.4 | 1.8 |
--------------------------------------------------------------------------------
| Ehitus | 4.0 | -3.3 | -0.2 | 3.0 | 0.3 | -0.2 | 0.0 | 0.2 |
--------------------------------------------------------------------------------
| Varahald | 2.4 | 2.4 | 1.1 | 0.7 | 0.2 | 0.2 | 0.1 | 0.0 |
| us | | | | | | | | |
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| Eliminee | -1.9 | 1.0 | 2.7 | -4.6 | -0.1 | 0.1 | 0.2 | -0.3 |
| rimised | | | | | | | | |
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| Jagamatu | -11.0 | -17.2 | -5.9 | -5.8 | -0.7 | -1.1 | -0.4 | -0.4 |
| d | | | | | | | | |
| ärikulud | | | | | | | | |
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| EBIT | -49.2 | 88.1 | -19.5 | 15.7 | -3.1 | 5.6 | -1.2 | 1.0 |
| Kokku | | | | | | | | |
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| | | | | | | | | |
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| Finantst | 16.0 | -15.1 | 11.0 | -7.2 | 1.0 | -1.0 | 0.7 | -0.5 |
| ulud | | | | | | | | |
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| Finantsk | -0.4 | 164.0 | -8.7 | 159.1 | 0.0 | 10.5 | -0.6 | 10.2 |
| ulud | | | | | | | | |
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| Tulumaks | -11.2 | -9.9 | -10.8 | -9.6 | -0.7 | -0.6 | -0.7 | -0.6 |
| ukulu | | | | | | | | |
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| Puhaskas | -44.7 | 227.2 | -27.9 | 158.1 | -2.8 | 14.5 | -1.8 | 10.1 |
| um | | | | | | | | |
--------------------------------------------------------------------------------
Kontserni olulisima tulu teenis ehitusdivisjon, kasvatades divisjoni poolaasta
käivet 31% - 206.1 mln kroonini (13.2 mln euroni). Oluline käibe kukkumine oli
tingitud arendusdivisjoni tulemusest. Kuigi kortereid ja krunte müüdi või
broneeriti kokku 78 (Kolde 27, Madrid 63, Manastirski 2, BM-1 -12 ja MB-5 -2),
realiseerub enamus I poolaasta broneeringutest laekuv käive ja brutokasum alles
2009 aasta lõpus, kui Madridi projekt on valminud.
Kui eelmise aasta sama perioodi ärikasum oli 88.1 mln krooni (5.6 mln eurot),
siis selle aasta esimese poolaastaga tuli vastu võtta ärikahjum -49.2 mln krooni
(-3.1 mln eurot). Ärikahjum sisaldab 16.9 mln krooni (1.1 mln eurot)
kinnisvarainvesteeringute allahindluste netotulemust. Käesoleval aastal on
toimunud Tivoli, MB-3 ja Laeva2 planeeringute kehtestamised, mis mõjutavad
oluliselt varade väärtusi. Samas ei saa Tivoli ja MB-3 varasid ümber hinnata,
kuna nimetatud projekte kajastab Kontsern soetusmaksumuses.
Põhilised finantstulud I poolaastal olid: Intressitulud 23.3 mln krooni (1.5 mln
eurot), Kippsala projekti nõude allahindluse tühistamine 25.2 mln krooni (1.6
mln eurot). Põhilised finantskulud I poolaastal olid: AVEC Asset Management AS'i
aktsiate võõrandamise kahjum 17.9 mln krooni (1.1 mln eurot), intressikulud 14.5
mln krooni (0.9 mln eurot) ja kahjum valuutakursi muutustest 4.7 mln krooni (0.3
mln eurot).
RAHAVOOD
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| | EEK | EEK | EEK | EEK | EUR | EUR | EUR | EUR |
--------------------------------------------------------------------------------
| miljonites | 6 | 6 | Q2 | Q2 | 6 | 6 | Q2 | Q2 |
| | kuud | kuud | 2008 | 2007 | kuud | kuud | 2008 | 2007 |
| | 2008 | 2007 | | | 2008 | 2007 | | |
--------------------------------------------------------------------------------
| Rahavoog | -107 | 23.0 | -73. | -8.5 | -6.8 | 1.5 | -4.7 | -0.5 |
| äritegevusest | .0 | | 7 | | | | | |
--------------------------------------------------------------------------------
| Rahavoog | -156 | 128.9 | 24.0 | 39.8 | -10.0 | 8.2 | 1.5 | 2.5 |
| investeerimis | .6 | | | | | | | |
| tegevusest | | | | | | | | |
--------------------------------------------------------------------------------
| Rahavoog | -267 | 888.6 | -198 | 952.1 | -17.1 | 56.8 | -12.7 | 60.9 |
| finantseerimi | .9 | | .5 | | | | | |
| stegevusest | | | | | | | | |
--------------------------------------------------------------------------------
| Perioodi | -531 | 1,040 | -248 | 983.4 | -34.0 | 66.5 | -15.9 | 62.9 |
| rahavoog | .5 | .5 | .2 | | | | | |
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| | | | | | | | | |
--------------------------------------------------------------------------------
| Raha ja raha | 765. | 58.3 | 481. | 115.4 | 48.9 | 3.7 | 30.8 | 7.4 |
| ekvivalendid | 0 | | 7 | | | | | |
| perioodi | | | | | | | | |
| alguses | | | | | | | | |
--------------------------------------------------------------------------------
| Valuutakursi | -0.3 | -0.1 | -0.3 | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 |
| mõju | | | | | | | | |
--------------------------------------------------------------------------------
| Raha ja raha | 233. | 1,098 | 233. | 1,098. | 14.9 | 70.2 | 14.9 | 70.3 |
| ekvivalendid | 2 | .7 | 2 | 8 | | | | |
| perioodi | | | | | | | | |
| lõpus | | | | | | | | |
--------------------------------------------------------------------------------
Äritegevuse negatiivse rahavoo oluline komponent on varude muutus, kus
kajastuvad elupindade projektide investeeringud: Kolde 10.0 mln krooni (0.64 mln
eurot), BM-1 13.8 mln krooni (0.9 mln eurot), Madrid ja Manastirski kokku 43.2
mln krooni (2.8 mln eurot).
Investeerimistegevuse rahavoo olulised negatiivsed komponendid olid:
järelmaksuga ostetud tütarettevõtete maksetähtaja saabumine summas ca 44.0 mln
krooni (2.8 mln eurot), Ukraina investeeringud summas 79.1 mln krooni (5.1 mln
eurot) ja likviidsete vahendite paigutamine Kesko võlakirjadesse summas 126.5
mln krooni (8.1 mln eurot). Lisaks andis Kontsern Ukraina äripartnerile laenu
summas 26.0 mln krooni (1.7 mln eurot), ühisettevõtetele anti laene kokku 17.6
mln krooni (1.1 mln eurot).
Kuni Ukraina äripartner pole ühiste kavatsuste protokollist tulenevaid nõudeid
täitnud ja Arco Vara pole Simferopoli projekti aktsiate omanikuks saanud, on
Kontsernil võimalik 12 kuu jooksul tagasi saada kogu Ukraina investeering
(aktsiate ettemaks ja antud laen), ehk 105.1 mln krooni (6.9 mln eurot) koos
kokku lepitud intressidega. Kui liita raha kontol, Kesko võlakirjad ja nõue
Simferopoli projektis äripartneri vastu, siis raha ja 12 kuu jooksul
vabastatavate finantsvarade summa on ca 468.1 mln krooni (29.9 mln eurot).
Ukraina investeering on kuni aktsiaomanduse saamiseni tagatud AS Ühendatud
Kapital garantiiga, mis asub Eestis.
Arco Vara likviidsuspositsioon on endiselt kõrge ning juhtkond peab oluliseks
säilitada piisavat likviidsuspuhvrit järgnevateks perioodideks, eriti arvestades
jätkuvat ebakindlust kapitaliturgudel ja sellest johtuvat refinantseerimisriski.
TEENINDUSDIVISION
Arco vahendustehingute arv on tõusnud Lätis ning Ukrainas, langenud Eestis ja
Leedus. Üüritehingute arv tehingute kogumahus näitab kasvamise tendetsi ja seda
eriti Eestis ja Lätis. Turuolukorda arvestades oleme sulgenud I pa jooksul 4
kontorit: Vilnius II, Ogre, Teika ja Varna. Poolaasta lõpus opereerib
teenindusdivisjon 26-s asukohas. Suveperioodil ning eriti augustis võib oodata
tehingute arvu vähenemist kõigil turgudel. On tõenäoline, et II pa jooksul
sulgeme veel vähemalt sama palju kontoreid.
Rumeenia ja Bulgaaria turgudel on elukondliku kinnisvara tehingute arv langenud,
samas ei ole toimunud olulist hindade korrektsiooni. Sealsete ning Ukraina
turgude ostujõuline elanikkond lükkab kallinenud laenuhinna ja
likviidsusprobleemide kartuses ostuotsuseid edasi.
ARENDUSDIVISION
Kinnisvaratehingute arvu langus Baltikumis avaldas enim mõju Läti
arendusdivisjoni ettevõttele, kus I poolaastal loobus 14 Kontserni klienti
broneeringust Bišumuižas 1 projektis. Teistel turgudel ei ole kliendid
broneeringutest Kontserni arendusprojektides loobunud. Langus Lätis
kompenseeriti kasvuga Tallinnas ja Sofias. Kolde projektis Tallinnas müüsime või
broneerisime kokku 27 korterit, Sofias 65 korterit, s.h kaks broneeringut
projektis „Manastirski“. Madridi projektis Sofias on 61% korteritest
broneeritud, kusjuures Kontsern refinantseeris projekti võõrvahendid soodsamatel
tingimustel, võimaldades Kontsernil osa projekti investeeritud omakapitali
vabastada. Sofias asuvas teises projektis „Manastirski“ lõpetati
ümberprojekteerimine, viidi läbi ehituskonkurss ning alustati eelmüügiga.
Põhiline mure on endiselt maaportfelli refinantseerimisrisk projektides, kus
arendust ei ole veel alustatud. Likviidsusriski maandamiseks kavatseb divisjon
agressiivselt tegeleda mõne olulise projekti müügiga ning teha soodsad
müügikampaaniad MB-1, Kolde ja Merivälja 2 projektides. I pa müüdi Kuressaare
ärimaja, mille müügihind oli 30 mln krooni (1.9 mln eurot). 2007. aasta lõpus
loobus Kontsern Kippsala projektist, kuna müüja ei suutnud tagada
detailplaneeringu kehtestamist. Vastavalt algsele müügilepingule oli müüjal
kohustus ettemaks koos intressidega Kontsernile tagastada. Seisuga 30.06.2008
on algsest ettemaksust (58,9 miljonit krooni (3,8 miljonit eurot)) tagastatud
46,9 miljonit krooni (3 miljonit eurot). Järelejäänud nõude osas on sõlmitud
maksegraafik koos intresside maksmisega.
Suurimaks Kontserni uusarenduseks on kaubanduskeskuse arendusprojekt Ukrainas
Simferopolis. Projektiga seoses on Kontsern teinud ettemaksu projektettevõttes
50%-lise osaluse omandamiseks. Kontserni likviidsust silmas pidades on oluline
mainida, et kuni aktsiate omandi üleminekuni on Kontserni tütarettevõttel Arco
Investeeringute AS-l võimalus kogu investeering 12 kuu jooksul koos intressidega
tagasi saada. Vastavalt sõlmitud lepingutele on müüjal kohustus tasuda saadud
ettemaksult intresse 6% kuni 12% aastas. Tagasimakse on garanteeritud AS
Ühendatud Kapitali garantiiga.
Arendusdivisjonis töötab 30.06.2008 seisuga kokku 49 inimest (30.06.2007: 61
inimest). Projektide kohta leiate lisainfot: www.arcorealestate.com/arendus
EHITUSDIVISION
Ehitustellimuste vähenemine elukondliku kinnisvara sektoris on Kontserni
hinnangul langetanud elukondliku kinnisvara ehitushindu ca 15 - 20%. Seetõttu on
ehitusdivisjon võitnud II kvartalis hankeid vaid keskkonnaehituses ning mitte
ühtegi tsiviilehituses. Suuremad ettevõtted konkureerivad nüüd ka väiksematel
hangetel, kus Arco Ehitus seniajani oma positsiooni kindlalt tundis. Positiivne
on meie Läti tütarettevõte saavutatud positsioon, et ta võib osaleda
riigihangetel. Esimene võidetud konkurss oli I kvartalis veepuhastusjaama
rauaeraldusjaama projekteerimiseks ning ehitamiseks Lätis Ogre külas mahus 48.5
mln krooni (3.1 mln eurot).
Teises kvartalis sõlmiti uusi ehituslepinguid ainult Eestis ning 98.0 mln krooni
(6.3 mln euro) väärtuses. I poolaasta lõpu seisuga on ehituslepingute
järelejäänud maht 338 mln krooni (21.6 mln eurot). I poolaasta kontsernisisene
müügitulu moodustas kogutuludest 20%. Divisjonis töötab kokku 181 inimest (2007
I pa: 150).
Konsolideeritud kasumiaruanne
--------------------------------------------------------------------------------
| | I poolaasta | I poolaasta | II kvartal | II kvartal |
| | 2008 | 2007 | 2008 | 2007 |
--------------------------------------------------------------------------------
| EEK tuhandetes | | | | |
--------------------------------------------------------------------------------
| Müügitulu teenuste | 222,890 | 135,621 | 134,199 | 81,783 |
| müügist | | | | |
--------------------------------------------------------------------------------
| Müügitulu kaupade | 90,589 | 277,137 | 71,759 | 39,794 |
| müügist | | | | |
--------------------------------------------------------------------------------
| Müügitulu kokku | 313,479 | 412,758 | 205,958 | 121,577 |
--------------------------------------------------------------------------------
| | | | | |
--------------------------------------------------------------------------------
| Müüdud toodangu kulu | -262,733 | -301,237 | -176,406 | -74,840 |
--------------------------------------------------------------------------------
| Brutokasum | 50,746 | 111,521 | 29,552 | 46,737 |
--------------------------------------------------------------------------------
| | | | | |
--------------------------------------------------------------------------------
| Muud äritulud | 31,342 | 74,819 | 26,948 | 25,563 |
--------------------------------------------------------------------------------
| Turustuskulud | -9,238 | -12,875 | -4,566 | -5,310 |
--------------------------------------------------------------------------------
| Üldhalduskulud | -72,913 | -64,132 | -38,840 | -32,742 |
--------------------------------------------------------------------------------
| Muud ärikulud | -49,105 | -21,195 | -32,592 | -18,496 |
--------------------------------------------------------------------------------
| Ärikasum | -49,168 | 88,138 | -19,498 | 15,752 |
--------------------------------------------------------------------------------
| | | | | |
--------------------------------------------------------------------------------
| Finants- ja | 31,569 | 173,044 | 17,558 | 162,874 |
| investeerimistegevus | | | | |
| e tulud | | | | |
--------------------------------------------------------------------------------
| Finants- ja | -15,929 | -24,115 | -15,228 | -10,947 |
| investeerimistegevus | | | | |
| e kulud | | | | |
--------------------------------------------------------------------------------
| Kasum enne tulumaksu | -33,528 | 237,067 | -17,168 | 167,679 |
--------------------------------------------------------------------------------
| | | | | |
--------------------------------------------------------------------------------
| Tulumaksukulu | -11,155 | -9,904 | -10,788 | -9,616 |
--------------------------------------------------------------------------------
| Puhaskasum | -44,683 | 227,163 | -27,956 | 158,063 |
--------------------------------------------------------------------------------
| s.h vähemusosanikele | 7,246 | 5,182 | 8,688 | -419 |
| kuuluv puhaskasum | | | | |
--------------------------------------------------------------------------------
| s.h Arco Vara AS | -51,929 | 221,981 | -36,644 | 158,482 |
| aktsionäridele | | | | |
| kuuluv puhaskasum | | | | |
--------------------------------------------------------------------------------
| | | | | |
--------------------------------------------------------------------------------
| Puhaskasum aktsia | | | | |
| kohta (kroonides) | | | | |
--------------------------------------------------------------------------------
| - tava | -0.54 | 3.27 | -0.38 | 2.34 |
--------------------------------------------------------------------------------
| - lahustatud | -0.54 | 3.27 | -0.38 | 2.34 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| | I poolaasta | I poolaasta | II kvartal | II kvartal |
| | 2008 | 2007 | 2008 | 2007 |
--------------------------------------------------------------------------------
| EUR tuhandetes | | | | |
--------------------------------------------------------------------------------
| Müügitulu teenuste | 14,245 | 8,668 | 8,577 | 5,227 |
| müügist | | | | |
--------------------------------------------------------------------------------
| Müügitulu kaupade | 5,790 | 17,712 | 4,586 | 2,543 |
| müügist | | | | |
--------------------------------------------------------------------------------
| Müügitulu kokku | 20,035 | 26,381 | 13,163 | 7,770 |
--------------------------------------------------------------------------------
| | | | | |
--------------------------------------------------------------------------------
| Müüdud toodangu kulu | -16,792 | -19,253 | -11,274 | -4,783 |
--------------------------------------------------------------------------------
| Brutokasum | 3,243 | 7,127 | 1,890 | 2,987 |
--------------------------------------------------------------------------------
| | | | | |
--------------------------------------------------------------------------------
| Muud äritulud | 2,003 | 4,782 | 1,722 | 1,634 |
--------------------------------------------------------------------------------
| Turustuskulud | -590 | -823 | -292 | -339 |
--------------------------------------------------------------------------------
| Üldhalduskulud | -4,660 | -4,099 | -2,482 | -2,093 |
--------------------------------------------------------------------------------
| Muud ärikulud | -3,138 | -1,355 | -2,083 | -1,182 |
--------------------------------------------------------------------------------
| Ärikasum | -3,141 | 5,633 | -1,245 | 1,007 |
--------------------------------------------------------------------------------
| | | | | |
--------------------------------------------------------------------------------
| Finants- ja | 2,018 | 11,060 | 1,122 | 10,410 |
| investeerimistegevuse | | | | |
| tulud | | | | |
--------------------------------------------------------------------------------
| Finants- ja | -1,018 | -1,541 | -973 | -700 |
| investeerimistegevuse | | | | |
| kulud | | | | |
--------------------------------------------------------------------------------
| Kasum enne tulumaksu | -2,142 | 15,152 | -1,096 | 10,717 |
--------------------------------------------------------------------------------
| | | | | |
--------------------------------------------------------------------------------
| Tulumaksukulu | -713 | -633 | -689 | -615 |
--------------------------------------------------------------------------------
| Puhaskasum | -2,854 | 14,519 | -1,785 | 10,102 |
--------------------------------------------------------------------------------
| s.h vähemusosanikele | 463 | 331 | 555 | -27 |
| kuuluv puhaskasum | | | | |
--------------------------------------------------------------------------------
| s.h Arco Vara AS | -3,319 | 14,187 | -2,342 | 10,129 |
| aktsionäridele kuuluv | | | | |
| puhaskasum | | | | |
--------------------------------------------------------------------------------
| | | | | |
--------------------------------------------------------------------------------
| Puhaskasum aktsia | | | | |
| kohta (eurodes) | | | | |
--------------------------------------------------------------------------------
| - tava | -0.03 | 0.21 | -0.02 | 0.15 |
--------------------------------------------------------------------------------
| - lahustatud | -0.03 | 0.21 | -0.02 | 0.15 |
--------------------------------------------------------------------------------
Konsolideeritud bilanss
--------------------------------------------------------------------------------
| | EEK | EEK | EUR | EUR |
--------------------------------------------------------------------------------
| | 30.06.20 | 31.12.200 | 30.06.200 | 31.12.200 |
| | 08 | 7 | 8 | 7 |
--------------------------------------------------------------------------------
| tuhandetes | | | | |
--------------------------------------------------------------------------------
| Raha ja raha ekvivalendid | 233,158 | 765,008 | 14,902 | 48,893 |
--------------------------------------------------------------------------------
| Finantsinvesteeringud | 136,858 | 78,595 | 8,747 | 5,023 |
--------------------------------------------------------------------------------
| Nõuded | 315,169 | 297,189 | 20,143 | 18,994 |
--------------------------------------------------------------------------------
| Ettemakstud kulud | 13,502 | 10,450 | 863 | 668 |
--------------------------------------------------------------------------------
| Varud | 1,237,23 | 1,148,433 | 79,074 | 73,398 |
| | 8 | | | |
--------------------------------------------------------------------------------
| Bioloogilised varad | 7,887 | 8,360 | 504 | 534 |
--------------------------------------------------------------------------------
| Käibevara kokku | 1,943,81 | 2,308,035 | 124,233 | 147,510 |
| | 2 | | | |
--------------------------------------------------------------------------------
| | | | | |
--------------------------------------------------------------------------------
| Finantsinvesteeringud | 235 | 48,515 | 15 | 3,101 |
--------------------------------------------------------------------------------
| Nõuded | 172,972 | 40,124 | 11,055 | 2,564 |
--------------------------------------------------------------------------------
| Kinnisvarainvesteeringud | 975,173 | 999,999 | 62,325 | 63,912 |
--------------------------------------------------------------------------------
| Materiaalne põhivara | 149,256 | 141,863 | 9,539 | 9,067 |
--------------------------------------------------------------------------------
| Immateriaalne põhivara | 25,588 | 25,505 | 1,635 | 1,630 |
--------------------------------------------------------------------------------
| Põhivara kokku | 1,323,22 | 1,256,006 | 84,569 | 80,274 |
| | 4 | | | |
--------------------------------------------------------------------------------
| VARAD KOKKU | 3,267,03 | 3,564,041 | 208,802 | 227,784 |
| | 6 | | | |
--------------------------------------------------------------------------------
| | | | | |
--------------------------------------------------------------------------------
| Laenukohustused | 609,610 | 753,077 | 38,961 | 48,130 |
--------------------------------------------------------------------------------
| Võlad | 171,283 | 223,591 | 10,947 | 14,290 |
--------------------------------------------------------------------------------
| Ettemaksed | 72,576 | 47,216 | 4,638 | 3,018 |
--------------------------------------------------------------------------------
| Eraldised | 5,031 | 3,468 | 322 | 222 |
--------------------------------------------------------------------------------
| Lühiajalised kohustused kokku | 858,500 | 1,027,352 | 54,868 | 65,660 |
--------------------------------------------------------------------------------
| | | | | |
--------------------------------------------------------------------------------
| Laenukohustused | 566,591 | 600,938 | 36,212 | 38,407 |
--------------------------------------------------------------------------------
| Võlad | 9,186 | 4,607 | 587 | 294 |
--------------------------------------------------------------------------------
| Edasilükkunud | 68 | 1,321 | 4 | 84 |
| tulumaksukohustus | | | | |
--------------------------------------------------------------------------------
| Eraldised | 0 | 251 | 0 | 16 |
--------------------------------------------------------------------------------
| Pikaajalised kohustused kokku | 575,845 | 607,117 | 36,803 | 38,801 |
--------------------------------------------------------------------------------
| KOHUSTUSED KOKKU | 1,434,34 | 1,634,469 | 91,671 | 104,461 |
| | 5 | | | |
--------------------------------------------------------------------------------
| | | | | |
--------------------------------------------------------------------------------
| Aktsiakapital | 952,842 | 952,842 | 60,898 | 60,898 |
--------------------------------------------------------------------------------
| Ülekurss | 712,514 | 712,514 | 45,538 | 45,538 |
--------------------------------------------------------------------------------
| Kohustuslik reservkapital | 31,463 | 20,084 | 2,011 | 1,284 |
--------------------------------------------------------------------------------
| Muud reservid | 101 | 37 | 6 | 2 |
--------------------------------------------------------------------------------
| Jaotamata kasum | 118,362 | 218,830 | 7,565 | 13,986 |
--------------------------------------------------------------------------------
| Emaettevõtte omanikele kuuluv | 1,815,28 | 1,904,307 | 116,018 | 121,708 |
| omakapital kokku | 2 | | | |
--------------------------------------------------------------------------------
| | | | | |
--------------------------------------------------------------------------------
| Vähemusosalusele kuuluv | 17,409 | 25,265 | 1,113 | 1,615 |
| omakapital | | | | |
--------------------------------------------------------------------------------
| Omakapital kokku | 1,832,69 | 1,929,572 | 117,131 | 123,323 |
| | 1 | | | |
--------------------------------------------------------------------------------
| | | | | |
--------------------------------------------------------------------------------
| KOHUSTUSED JA OMAKAPITAL | 3,267,03 | 3,564,041 | 208,802 | 227,784 |
| KOKKU | 6 | | | |
--------------------------------------------------------------------------------
Heigo Metsoja
CFO
+372 6144 654
heigo.metsoja@arcovara.ee
http://www.arcorealestate.com
Pealkiri
Unaudited results for the 6 months and Q2 of 2008
Teade
Revenue and other income for the first half-year totalled 344.8 million kroons
(22.0 million euros), 29% down year-over-year.
EBIT amounted to -49.2 million kroons (-3.1 million euros), a 137.3 million
kroon (8.8 million euro) decrease compared with the EBIT earned in the first
half of 2007.
Net loss was 44.7 million kroons (2.9 million euros), 271.9 million kroons (17.4
million euros) down from the net profit generated a year ago.
Equity ratio was 56.1% (6 months 2007: 57.6%), ROE -2.2% (6 months 2007: 40.0%)
and ROIC 0.3% (6 months 2007: 21.9%).
Group's order backlog in the construction business stood at 338 million kroons
(21.6 million euros) against 358 million kroons (23.0 million euros) in first
quarter.
During 6 months 78 apartments and plots were sold or reserved compared with 67
last year.
--------------------------------------------------------------------------------
| 2007 | EEK | EEK | EEK | EEK | EUR | EUR | EUR | EUR |
--------------------------------------------------------------------------------
| In | 6 | 6 | Q2 | Q2 | 6 | 6 | Q2 | Q2 |
| million | month | month | 2008 | 2007 | months | months | 2008 | 2007 |
| s | s | s | | | 2008 | 2007 | | |
| | 2008 | 2007 | | | | | | |
--------------------------------------------------------------------------------
| Revenue | 344.8 | 487.6 | 232.9 | 147.1 | 22.0 | 31.2 | 14.9 | 9.4 |
| and | | | | | | | | |
| other | | | | | | | | |
| income | | | | | | | | |
--------------------------------------------------------------------------------
| Operati | -49.2 | 88.1 | -19.5 | 15.8 | -3.1 | 5.6 | -1.2 | 1.0 |
| ng | | | | | | | | |
| profit | | | | | | | | |
| / loss | | | | | | | | |
--------------------------------------------------------------------------------
| Includi | -16.9 | 55.4 | -4.4 | 6.7 | -1.1 | 3.5 | -0.3 | 0.4 |
| ng net | | | | | | | | |
| gain / | | | | | | | | |
| loss on | | | | | | | | |
| fair | | | | | | | | |
| value | | | | | | | | |
| adjustm | | | | | | | | |
| ents to | | | | | | | | |
| investm | | | | | | | | |
| ent | | | | | | | | |
| propert | | | | | | | | |
| y | | | | | | | | |
--------------------------------------------------------------------------------
| Profit | -33.5 | 237.1 | -17.2 | 167.7 | -2.1 | 15.2 | -1.1 | 10.7 |
| / loss | | | | | | | | |
| before | | | | | | | | |
| tax | | | | | | | | |
--------------------------------------------------------------------------------
| Includi | -19.5 | 123.0 | -19.5 | 7.7 | -1.2 | 7.9 | -1.2 | 0.5 |
| ng net | | | | | | | | |
| gain / | | | | | | | | |
| loss on | | | | | | | | |
| the | | | | | | | | |
| divestm | | | | | | | | |
| ent of | | | | | | | | |
| financi | | | | | | | | |
| al | | | | | | | | |
| assets | | | | | | | | |
--------------------------------------------------------------------------------
| Net | -44.7 | 227.2 | -28.0 | 158.1 | -2.9 | 14.5 | -1.8 | 10.1 |
| profit | | | | | | | | |
| / loss | | | | | | | | |
--------------------------------------------------------------------------------
| | | | | | | | | |
--------------------------------------------------------------------------------
| EPS 1 | -0.54 | 3.27 | -0.38 | 2.34 | -0.03 | 0.21 | -0.02 | 0.15 |
| (in | | | | | | | | |
| kroons | | | | | | | | |
| and | | | | | | | | |
| euros) | | | | | | | | |
--------------------------------------------------------------------------------
| EPS 2 | -0.54 | 3.27 | -0.38 | 2.34 | -0.03 | 0.21 | -0.02 | 0.15 |
| (in | | | | | | | | |
| kroons | | | | | | | | |
| and | | | | | | | | |
| euros) | | | | | | | | |
--------------------------------------------------------------------------------
| | | | | | | | | |
--------------------------------------------------------------------------------
| Total | 3,267 | 3,334 | | | 208.8 | 213.1 | | |
| assets | .0 | .0 | | | | | | |
| at | | | | | | | | |
| period | | | | | | | | |
| end | | | | | | | | |
--------------------------------------------------------------------------------
| Investe | 3,019 | 2,986 | | | 192.9 | 190.9 | | |
| d | .0 | .2 | | | | | | |
| capital | | | | | | | | |
| at | | | | | | | | |
| period | | | | | | | | |
| end | | | | | | | | |
--------------------------------------------------------------------------------
| Net | 815.4 | -78.2 | | | 52.1 | -5.0 | | |
| loans | | | | | | | | |
| at | | | | | | | | |
| period | | | | | | | | |
| end | | | | | | | | |
--------------------------------------------------------------------------------
| Equity | 1,832 | 1,921 | | | 117.1 | 122.8 | | |
| at | .7 | .3 | | | | | | |
| period | | | | | | | | |
| end | | | | | | | | |
--------------------------------------------------------------------------------
| | | | | | | | | |
--------------------------------------------------------------------------------
| Average | 1.9 | n/a | | | 1.9 | n/a | | |
| loan | | | | | | | | |
| term | | | | | | | | |
| (in | | | | | | | | |
| years) | | | | | | | | |
--------------------------------------------------------------------------------
| Average | 7.2% | n/a | | | 7.2% | n/a | | |
| interes | | | | | | | | |
| t rate | | | | | | | | |
| of | | | | | | | | |
| loans | | | | | | | | |
| (per | | | | | | | | |
| year) | | | | | | | | |
--------------------------------------------------------------------------------
| ROIC | 0.3% | 21.9% | | | 0.3% | 21.9% | | |
| (rollin | | | | | | | | |
| g 4 | | | | | | | | |
| quarter | | | | | | | | |
| s) | | | | | | | | |
--------------------------------------------------------------------------------
| ROE | -2.2% | 40.0% | | | -2.2% | 40.0% | | |
| (rollin | | | | | | | | |
| g 4 | | | | | | | | |
| quarter | | | | | | | | |
| s) | | | | | | | | |
--------------------------------------------------------------------------------
| | | | | | | | | |
--------------------------------------------------------------------------------
| Number | 569 | 574 | | | 569 | 574 | | |
| of | | | | | | | | |
| staff | | | | | | | | |
| at | | | | | | | | |
| period | | | | | | | | |
| end | | | | | | | | |
--------------------------------------------------------------------------------
Comments by the CEO
Macroeconomic and refinancing risks characterize more and more also other
markets than Baltics: Ukraine, Bulgaria and Romania. Under the circumstances,
strong liquidity is the key for becoming a winner in this situation. The Baltic
prices have not bottomed out - less attractively located and lower quality
properties will see further price adjustment. Although according to Arco's
long-term strategy we intend to increase our exposure in Urkaine and Balkan
region, today the main goal is to increase group's liquidity by selling cost
cutting sales of some major projects. 75% of Arco's real estate portfolio is
based in Estonia.
Development divisions' performance indicators (planning, construction, vacancies
and apartment sales) for the first six months were positive, but the current
stages of the projects allow recognising only liabilities for reservation fees
received, not sales revenues. The results of the Development division are
subject to significant fluctuations and the figures for the following quarters
may prove radically different as the projects progress. Taken into account the
development phase (Tivoli, Ahtri3, Laeva, BM-2 etc.) and less asset value
growth, the results of the divison were expected to be poor. Highlights of the
period included adoption of detailed plans for Tivoli, Laeva 2 and MB-3
properties, investment in the Simferopol project and an apartment sales block
deal in Sofia.
The year has been most depresseing for our service divison and despite cost
cutting and closure of some offices the division may end the year even with
operating losses up to 30.00 mln kroons (1.6 million euros). However, the
Group's market position is strong and the division's performance indicators
(number of transactions and valuations) have deteriorated less than the market's
average.
The Construction division continues turning a profit and has been able to win
environmental engineering tenders in both Estonia and Latvia. The winning of new
construction contracts in Estonia and Latvia has increased the division's
contribution to the Group's overall results. The decline in the civil
engineering business and the number of internal contracts indicates that the
shift in focus was justified.
REVENUE AND PROFIT
--------------------------------------------------------------------------------
| | EEK | EEK | EEK | EEK | EUR | EUR | EUR | EUR |
--------------------------------------------------------------------------------
| | 6 | 6 | Q2 | Q2 | 6 | 6 | Q2 | Q2 |
| | month | month | 2008 | 2007 | months | months | 2008 | 2007 |
| | s | s | | | 2008 | 2007 | | |
| | 2008 | 2007 | | | | | | |
--------------------------------------------------------------------------------
| In | | | | | | | | |
| million | | | | | | | | |
| s | | | | | | | | |
--------------------------------------------------------------------------------
| Revenue | | | | | | | | |
| and | | | | | | | | |
| other | | | | | | | | |
| income | | | | | | | | |
--------------------------------------------------------------------------------
| Service | 58.6 | 64.8 | 29.4 | 34.6 | 3.7 | 4.1 | 1.9 | 2.2 |
--------------------------------------------------------------------------------
| Develop | 139.9 | 382.5 | 110.2 | 87.7 | 8.9 | 24.4 | 7.0 | 5.6 |
| ment | | | | | | | | |
--------------------------------------------------------------------------------
| Constru | 206.1 | 157.4 | 116.6 | 100.2 | 13.2 | 10.1 | 7.5 | 6.4 |
| ction | | | | | | | | |
--------------------------------------------------------------------------------
| Asset | 6.8 | 6.2 | 3.4 | 3.1 | 0.4 | 0.4 | 0.2 | 0.2 |
| managem | | | | | | | | |
| ent | | | | | | | | |
--------------------------------------------------------------------------------
| Elimina | -66.7 | -123. | -26.8 | -78.5 | -4.3 | -7.9 | -1.7 | -5.0 |
| tions | | 3 | | | | | | |
--------------------------------------------------------------------------------
| Total | 344.8 | 487.6 | 232.8 | 147.1 | 22.0 | 31.2 | 14.9 | 9.4 |
| revenue | | | | | | | | |
| and | | | | | | | | |
| other | | | | | | | | |
| income | | | | | | | | |
--------------------------------------------------------------------------------
| | | | | | | | | |
--------------------------------------------------------------------------------
| Operati | | | | | | | | |
| ng | | | | | | | | |
| profit | | | | | | | | |
| / loss | | | | | | | | |
--------------------------------------------------------------------------------
| Service | -20.4 | -9.0 | -10.9 | -5.7 | -1.3 | -0.6 | -0.7 | -0.4 |
--------------------------------------------------------------------------------
| Develop | -22.2 | 114.3 | -6.1 | 28.2 | -1.4 | 7.3 | -0.4 | 1.8 |
| ment | | | | | | | | |
--------------------------------------------------------------------------------
| Constru | 4.0 | -3.3 | -0.2 | 3.0 | 0.3 | -0.2 | 0.0 | 0.2 |
| ction | | | | | | | | |
--------------------------------------------------------------------------------
| Asset | 2.4 | 2.4 | 1.1 | 0.7 | 0.2 | 0.2 | 0.1 | 0.0 |
| managem | | | | | | | | |
| ent | | | | | | | | |
--------------------------------------------------------------------------------
| Elimina | -1.9 | 1.0 | 2.7 | -4.6 | -0.1 | 0.1 | 0.2 | -0.3 |
| tions | | | | | | | | |
--------------------------------------------------------------------------------
| Unalloc | -11.0 | -17.2 | -5.9 | -5.8 | -0.7 | -1.1 | -0.4 | -0.4 |
| ated | | | | | | | | |
| expense | | | | | | | | |
| s | | | | | | | | |
--------------------------------------------------------------------------------
| Total | -49.2 | 88.1 | -19.5 | 15.7 | -3.1 | 5.6 | -1.2 | 1.0 |
| operati | | | | | | | | |
| ng | | | | | | | | |
| profit | | | | | | | | |
| / loss | | | | | | | | |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| | | | | | | | | |
--------------------------------------------------------------------------------
| Interes | 16.0 | -15.1 | 11.0 | -7.2 | 1.0 | -1.0 | 0.7 | -0.5 |
| t | | | | | | | | |
| income | | | | | | | | |
| and | | | | | | | | |
| expense | | | | | | | | |
--------------------------------------------------------------------------------
| Other | -0.4 | 164.0 | -8.7 | 159.1 | 0.0 | 10.5 | -0.6 | 10.2 |
| finance | | | | | | | | |
| income | | | | | | | | |
| and | | | | | | | | |
| expense | | | | | | | | |
--------------------------------------------------------------------------------
| Income | -11.2 | -9.9 | -10.8 | -9.6 | -0.7 | -0.6 | -0.7 | -0.6 |
| tax | | | | | | | | |
| expense | | | | | | | | |
--------------------------------------------------------------------------------
| Net | -44.7 | 227.2 | -27.9 | 158.1 | -2.8 | 14.5 | -1.8 | 10.1 |
| profit | | | | | | | | |
| / loss | | | | | | | | |
| for the | | | | | | | | |
| period | | | | | | | | |
--------------------------------------------------------------------------------
The bulk of the Group's revenue was generated by the Construction division which
increased half-year sales by 31% to 206.1 million kroons (13.2 million euros).
The plunge in sales may be attributed to the underperformance of the Development
division. Although 78 apartments or plots were reserved (Kolde 27, Madrid 63,
Manastirski 2, BM-1 -12 and MB-5 -2), most of related revenue and gross profit
will realise at the end of 2009 when the Madrid project is completed.
Compared with the first half of 2007 when we earned an EBIT of 88.1 million
kroons (5.6 million euros), the first six months of 2008 brought an operating
loss of 49.2 million kroons (3.1 million euros). Consolidated operating loss
includes 16.9 million kroons (1.1 million euros) representing net loss on fair
value adjustments to investment property. Although in the reporting period
detailed plans were adopted for the Tivoli, MB-3 and Laeva (a development which
increases the value of the properties significantly), the assets cannot be
revalued because they are carried at cost.
Finance income resulted mainly from interest income of 23.3 million kroons (1.5
million euros) and the reversal of an impairment loss of 25.2 million kroons
(1.6 million euros) recognised for a receivable related to the Kippsala project.
The main sources of finance expense were the disposal of shares in AVEC Asset
Management which resulted in a loss of 17.9 million kroons (1.1 million euros),
interest expense of 14.5 million kroons (0.9 million euros) and foreign exchange
losses of 4.7 million kroons (0.3 million euros).
CASH FLOWS
--------------------------------------------------------------------------------
| | EEK | EEK | EEK | EEK | EUR | EUR | EUR | EUR |
--------------------------------------------------------------------------------
| In | 6 | 6 | Q2 | Q2 | 6 | 6 | Q2 | Q2 |
| millio | month | month | 2008 | 2007 | months | months | 2008 | 2007 |
| ns | s | s | | | 2008 | 2007 | | |
| | 2008 | 2007 | | | | | | |
--------------------------------------------------------------------------------
| Cash | -107. | 23.0 | -73.7 | -8.5 | -6.8 | 1.5 | -4.7 | -0.5 |
| flows | 0 | | | | | | | |
| from | | | | | | | | |
| operat | | | | | | | | |
| ing | | | | | | | | |
| activi | | | | | | | | |
| ties | | | | | | | | |
--------------------------------------------------------------------------------
| Cash | -156. | 128.9 | 24.0 | 39.8 | -10.0 | 8.2 | 1.5 | 2.5 |
| flows | 6 | | | | | | | |
| from | | | | | | | | |
| invest | | | | | | | | |
| ing | | | | | | | | |
| activi | | | | | | | | |
| ties | | | | | | | | |
--------------------------------------------------------------------------------
| Cash | -267. | 888.6 | -198.5 | 952.1 | -17.1 | 56.8 | -12.7 | 60.9 |
| flows | 9 | | | | | | | |
| from | | | | | | | | |
| financ | | | | | | | | |
| ing g | | | | | | | | |
| activi | | | | | | | | |
| ties | | | | | | | | |
--------------------------------------------------------------------------------
| Net | -531. | 1,040 | -248.2 | 983.4 | -34.0 | 66.5 | -15.9 | 62.9 |
| cash | 5 | .5 | | | | | | |
| flow | | | | | | | | |
--------------------------------------------------------------------------------
| | | | | | | | | |
--------------------------------------------------------------------------------
| Cash | 765.0 | 58.3 | 481.7 | 115.4 | 48.9 | 3.7 | 30.8 | 7.4 |
| and | | | | | | | | |
| cash | | | | | | | | |
| equiva | | | | | | | | |
| lents | | | | | | | | |
| at | | | | | | | | |
| beginn | | | | | | | | |
| ing of | | | | | | | | |
| period | | | | | | | | |
--------------------------------------------------------------------------------
| Effect | -0.3 | -0.1 | -0.3 | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 |
| of | | | | | | | | |
| exchan | | | | | | | | |
| ge | | | | | | | | |
| rate | | | | | | | | |
| fluctu | | | | | | | | |
| ations | | | | | | | | |
--------------------------------------------------------------------------------
| Cash | 233.2 | 1,098 | 233.2 | 1,098. | 14.9 | 70.2 | 14.9 | 70.3 |
| and | | .7 | | 8 | | | | |
| cash | | | | | | | | |
| equiva | | | | | | | | |
| lents | | | | | | | | |
| at end | | | | | | | | |
| of | | | | | | | | |
| period | | | | | | | | |
--------------------------------------------------------------------------------
The main component of negative operating cash flow was the increase in
inventories where are recorded investments in residential projects: Kolde 10.0
million kroons (0.64 million euros), BM-1 13.8 million kroons (0.9 million
euros), Madrid and Manastirski in total 43.2 million kroons (2.8 million euros).
The main components of negative investment cash flows were: major payables came
due in amount of 44.0 million kroons (2.8 million euros), Ukraine investement
79.1 million kroons (5.1 million euros) and investments of liquid assets to
Kesko's short-term bonds for 126.5 million kroons (8.1 million euros). In
addition the Group granted debt to our Ukraine partner in amount of 26.0 million
kroons (1.7 milllion euros) and to joint ventures 17.6 million kroons (1.1
million euros).
Until the Ukraine partner hasen't fulfilled conditions precedent according to
Leter of Intent and Arco is not the legal owner of 50% of the shares in project
company, the Group can call back the prepayment and subordinated loans in
amount of 105.1 million kroons (6.9 million euros) and receive the money and
corresponding interests in 12 months. If we add Group's cash account, Kesko's
short-term bonds and Ukraine receivable then cash and potential cash that can be
released from financial assets amounts up to 468.1 million kroons (29.9 million
euros). Ukraine receivable is quaranteed by one Estonian entity called AS
Ühendatud Kapital.
Arco management considers that our liquidity position is still good and it's our
first priority to ensure that it stays like this, specially under the global
capital market turbulence and much higher refinancing risks.
SERVICE DIVISION
The number of brokerage transactions has dropped in Estonia and Lithuania and
risen in Latvia and Ukraine. The proportion of rental transactions in the
overall transaction mix will increase, specifically in Estonia and Latvia.
Considering the market situation we have closed 4 offices: Vilnius II, Ogre,
Teika and Varna. The division operates in 26 offices. During the summer,
particularly August, business will slump in all markets. It's probable that in
thesecond halv of the year we close at least 4 more offices.
The number of housing transactions is shrinking on the Bulgairan and Romanian
market, but he price correction hasen't yet taken place. On the Balkans and in
Ukraine, people with purchasing power are postponing their transactions due to
rising borrowing costs and a fear of a decrease in liquidity.
DEVELOPMENT DIVISION
Declaine in the number of property deals affected the most our Latvian business,
where 14 of our clients considered to be better off by cancelling the
pre-booking and losing their downpayment in BM-1 project. On other markets no
pre-bookings have been cancelled. Declaine in Latvia is right now compensated by
increase in Tallinn and Sofia. In kolde project in Tallinn were sold or booked
27 appartments, in Sofia 65, whereas 2 booking already in Manastirski project.
In project “Madrid” in Sofia we have already 61% of residential spaces pre-sold
and enabled us to refinance the existing loan facility on more favourable
conditions so that some of the equity can be released right now. In the project
“Manastirsiki” in Sofia we ended the replanning process and construction tender
and started presaels marketing.
The main concern of the division is still the refinancing risk of our land bank
where are no development activities. In order to minimise the risk the Group
considers to sell on of its land markt ptoject and start sales campaign in
Kolde, MB-1 and Merivälja 2 projects. In sixt months we have sold one asset for
its book value of 30.0 million kroons (1.9 million euros). We have also
cancelled “Kippsala” project in Riga ‘cause the seller was not able to produce
zoning rights and according to initial sales agreement we had the right to
cancel the deal and get back the total amount plus penalties and carrying
interest. As of 30.06.2008 the sellesr has paid back from initial outstanding
amount (58.9 million kroons (3.8 million euros)) 46.9 million kroons (3.0
million euros). The rest is paid back according to schedule.
The biggest new development is retail centre in Simferopol in Urkaine. We have
made prepayment for the 50% stake in the project. Considering Group's liquidity
position It's important to mention that antil the transfer of the title of the
share we have the right to call back the deal and get back the money in 12
months plus carrying interest from 6 to 12% per year. The payament has AS
Ühendatud Kapital quarantee.
As of 30.06.2008 the divison employs 49 people (30.06.2007: 61 people).
Additional info on projects can be found on: www.arcorealestate.com/arendus
CONSTRUCTION DIVISION
According to management's estimates, the decrease in demand for residential
construction services has lowered housing construction prices by around 15-20%.
As a result, in the second quarter the Construction division won only
environmental engineering contracts and no civil engineering ones. Large
companies are elbowing their way to smaller tenders where to date Arco Ehitus
has had an edge. On the positive side, our Latvian subsidiary has gained a
position that allows participating in public procurement tenders. In the first
quarter the subsidiary won a public procurement tender for the design and
construction of an iron removal plant at a water treatment facility in the
village of Ogre. The size of the contract is 48.5 million kroons (3.1 million
euros).
In the second quarter the division was awarded construction contracts of 98.0
million kroons (6.3 million euros), all in Estonia. At the end of the reporting
period, the division's order backlog was 338 million kroons (21.6 million
euros). Intra-group sales accounted for 20% of six-month revenue. During the
reporting period, the division employed 181 people (6 months 2007: 150).
Condensed consolidated interim income statement
--------------------------------------------------------------------------------
| | 6 months | 6 months | Q2 2008 | Q2 2007 |
| | 2008 | 2007 | | |
--------------------------------------------------------------------------------
| In EEK, thousands | | | | |
--------------------------------------------------------------------------------
| Rendering of services | 222,890 | 135,621 | 134,199 | 81,783 |
--------------------------------------------------------------------------------
| Sale of goods | 90,589 | 277,137 | 71,759 | 39,794 |
--------------------------------------------------------------------------------
| Total revenue | 313,479 | 412,758 | 205,958 | 121,577 |
--------------------------------------------------------------------------------
| | | | | |
--------------------------------------------------------------------------------
| Cost of sales | -262,733 | -301,237 | -176,406 | -74,840 |
--------------------------------------------------------------------------------
| Gross profit | 50,746 | 111,521 | 29,552 | 46,737 |
--------------------------------------------------------------------------------
| | | | | |
--------------------------------------------------------------------------------
| Other income | 31,342 | 74,819 | 26,948 | 25,563 |
--------------------------------------------------------------------------------
| Selling and distribution | -9,238 | -12,875 | -4,566 | -5,310 |
| costs | | | | |
--------------------------------------------------------------------------------
| Administrative expenses | -72,913 | -64,132 | -38,840 | -32,742 |
--------------------------------------------------------------------------------
| Other expenses | -49,105 | -21,195 | -32,592 | -18,496 |
--------------------------------------------------------------------------------
| Operating profit / loss | -49,168 | 88,138 | -19,498 | 15,752 |
--------------------------------------------------------------------------------
| | | | | |
--------------------------------------------------------------------------------
| Finance income | 31,569 | 173,044 | 17,558 | 162,874 |
--------------------------------------------------------------------------------
| Finance expenses | -15,929 | -24,115 | -15,228 | -10,947 |
--------------------------------------------------------------------------------
| Profit / loss before tax | -33,528 | 237,067 | -17,168 | 167,679 |
--------------------------------------------------------------------------------
| | | | | |
--------------------------------------------------------------------------------
| Income tax expense | -11,155 | -9,904 | -10,788 | -9,616 |
--------------------------------------------------------------------------------
| Profit / loss for the | -44,683 | 227,163 | -27,956 | 158,063 |
| period | | | | |
--------------------------------------------------------------------------------
| Attributable to minority | 7,246 | 5,182 | 8,688 | -419 |
| interests | | | | |
--------------------------------------------------------------------------------
| Attributable to equity | 51,929 | 221,981 | -36,644 | 158,482 |
| holders of the parent | | | | |
--------------------------------------------------------------------------------
| | | | | |
--------------------------------------------------------------------------------
| Earnings per share (in | | | | |
| kroons) | | | | |
--------------------------------------------------------------------------------
| - Basic | -0.54 | 3.27 | -0.03 | 0.21 |
--------------------------------------------------------------------------------
| - Diluted | -0.54 | 3.27 | -0.03 | 0.21 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| | 6 months | 6 months | | Q2 2008 | Q2 2007 |
| | 2008 | 2007 | | | |
--------------------------------------------------------------------------------
| In EUR, thousands | | | | | |
--------------------------------------------------------------------------------
| Rendering of services | 14,245 | 8,668 | | 8,577 | 5,227 |
--------------------------------------------------------------------------------
| Sale of goods | 5,790 | 17,712 | | 4,586 | 2,543 |
--------------------------------------------------------------------------------
| Total revenue | 20,035 | 26,381 | | 13,163 | 7,770 |
--------------------------------------------------------------------------------
| | | | | | |
--------------------------------------------------------------------------------
| Cost of sales | -16,792 | -19,253 | | -11,274 | -4,783 |
--------------------------------------------------------------------------------
| Gross profit | 3,243 | 7,127 | | 1,890 | 2,987 |
--------------------------------------------------------------------------------
| | | | | | |
--------------------------------------------------------------------------------
| Other income | 2,003 | 4,782 | | 1,722 | 1,634 |
--------------------------------------------------------------------------------
| Selling and | -590 | -823 | | -292 | -339 |
| distribution costs | | | | | |
--------------------------------------------------------------------------------
| Administrative expenses | -4,660 | -4,099 | | -2,482 | -2,093 |
--------------------------------------------------------------------------------
| Other expenses | -3,138 | -1,355 | | -2,083 | -1,182 |
--------------------------------------------------------------------------------
| Operating profit / loss | -3,141 | 5,633 | | -1,245 | 1,007 |
--------------------------------------------------------------------------------
| | | | | | |
--------------------------------------------------------------------------------
| Finance income | 2,018 | 11,060 | | 1,122 | 10,410 |
--------------------------------------------------------------------------------
| Finance expenses | -1,018 | -1,541 | | -982 | -700 |
--------------------------------------------------------------------------------
| Profit / loss before | -2,142 | 15,152 | | -1,096 | 10,717 |
| tax | | | | | |
--------------------------------------------------------------------------------
| | | | | | |
--------------------------------------------------------------------------------
| Income tax expense | -713 | -633 | | -689 | -615 |
--------------------------------------------------------------------------------
| Profit / loss for the | -2,854 | 14,519 | | -1,785 | 10,102 |
| period | | | | | |
--------------------------------------------------------------------------------
| Attributable to | 463 | 331 | | 555 | -27 |
| minority interests | | | | | |
--------------------------------------------------------------------------------
| Attributable to equity | -3,319 | 14,187 | | -2,342 | 10,129 |
| holders of the parent | | | | | |
--------------------------------------------------------------------------------
| | | | | | |
--------------------------------------------------------------------------------
| Earnings per share (in | | | | | |
| euros) | | | | | |
--------------------------------------------------------------------------------
| - Basic | -0.03 | 0.21 | | -0.02 | 0.15 |
--------------------------------------------------------------------------------
| - Diluted | -0.03 | 0.21 | | -0.02 | 0.15 |
--------------------------------------------------------------------------------
Condensed consolidated interim balance sheet
--------------------------------------------------------------------------------
| | EEK | EEK | EUR | EUR |
--------------------------------------------------------------------------------
| | 30 June | 31 December | 30 June | 31 December |
| | 2008 | 2007 | 2008 | 2007 |
--------------------------------------------------------------------------------
| In thousands | | | | |
--------------------------------------------------------------------------------
| Cash and cash | 233,158 | 765,008 | 14,902 | 48,893 |
| equivalents | | | | |
--------------------------------------------------------------------------------
| Other financial | 136,858 | 78,595 | 8,747 | 5,023 |
| assets | | | | |
--------------------------------------------------------------------------------
| Receivables | 315,169 | 297,189 | 20,143 | 18,994 |
--------------------------------------------------------------------------------
| Prepayments | 13,502 | 10,450 | 863 | 668 |
--------------------------------------------------------------------------------
| Inventories | 1,237,238 | 1,148,433 | 79,074 | 73,398 |
--------------------------------------------------------------------------------
| Biological assets | 7,887 | 8,360 | 504 | 534 |
--------------------------------------------------------------------------------
| Total current assets | 1,943,812 | 2,308,035 | 124,233 | 147,510 |
--------------------------------------------------------------------------------
| | | | | |
--------------------------------------------------------------------------------
| Other financial | 235 | 48,515 | 15 | 3,101 |
| assets | | | | |
--------------------------------------------------------------------------------
| Receivables | 172,972 | 40,124 | 11,055 | 2,564 |
--------------------------------------------------------------------------------
| Investment property | 975,173 | 999,999 | 62,325 | 63,912 |
--------------------------------------------------------------------------------
| Property, plant and | 149,256 | 141,863 | 9,539 | 9,067 |
| equipment | | | | |
--------------------------------------------------------------------------------
| Intangible assets | 25,588 | 25,505 | 1,635 | 1,630 |
--------------------------------------------------------------------------------
| Total non-current | 1,323,224 | 1,256,006 | 84,569 | 80,274 |
| assets | | | | |
--------------------------------------------------------------------------------
| TOTAL ASSETS | 3,267,036 | 3,564,041 | 208,802 | 227,784 |
--------------------------------------------------------------------------------
| | | | | |
--------------------------------------------------------------------------------
| Loans and borrowings | 609,610 | 753,077 | 38,961 | 48,130 |
--------------------------------------------------------------------------------
| Payables | 171,283 | 223,591 | 10,947 | 14,290 |
--------------------------------------------------------------------------------
| Deferred income | 72,576 | 47,216 | 4,638 | 3,018 |
--------------------------------------------------------------------------------
| Provisions | 5,031 | 3,468 | 322 | 222 |
--------------------------------------------------------------------------------
| Total current | 858,500 | 1,027,352 | 54,868 | 65,660 |
| liabilities | | | | |
--------------------------------------------------------------------------------
| | | | | |
--------------------------------------------------------------------------------
| Loans and borrowings | 566,591 | 600,938 | 36,212 | 38,407 |
--------------------------------------------------------------------------------
| Other liabilities | 9,186 | 4,607 | 587 | 294 |
--------------------------------------------------------------------------------
| Deferred income tax | 68 | 1,321 | 4 | 84 |
| liability | | | | |
--------------------------------------------------------------------------------
| Provisions | 0 | 251 | 0 | 16 |
--------------------------------------------------------------------------------
| Total non-current | 575,845 | 607,117 | 36,803 | 38,801 |
| liabilities | | | | |
--------------------------------------------------------------------------------
| TOTAL LIABILITIES | 1,434,345 | 1,634,469 | 91,671 | 104,461 |
--------------------------------------------------------------------------------
| | | | | |
--------------------------------------------------------------------------------
| Share capital | 952,842 | 952,842 | 60,898 | 60,898 |
--------------------------------------------------------------------------------
| Share premium | 712,514 | 712,514 | 45,538 | 45,538 |
--------------------------------------------------------------------------------
| Statutory capital | 31,463 | 20,084 | 2,011 | 1,284 |
| reserve | | | | |
--------------------------------------------------------------------------------
| Other reserves | 101 | 37 | 6 | 2 |
--------------------------------------------------------------------------------
| Retained earnings | 118,362 | 218,830 | 7,565 | 13,986 |
--------------------------------------------------------------------------------
| Total equity | 1,815,282 | 1,904,307 | 116,018 | 121,708 |
| attributable to | | | | |
| equity holders of | | | | |
| the parent | | | | |
--------------------------------------------------------------------------------
| | | | | |
--------------------------------------------------------------------------------
| Minority interests | 17,409 | 25,265 | 1,113 | 1,615 |
--------------------------------------------------------------------------------
| Total equity | 1,832,691 | 1,929,572 | 117,131 | 123,323 |
--------------------------------------------------------------------------------
| | | | | |
--------------------------------------------------------------------------------
| TOTAL LIABILITIES | 3,267,036 | 3,564,041 | 208,802 | 227,784 |
| AND EQUITY | | | | |
--------------------------------------------------------------------------------
Heigo Metsoja
CFO
+372 6144 654
heigo.metsoja@arcovara.ee
http://www.arcorealestate.com